Some reasons why you should consider offshore banking for your financial life
October 22, 2015
Offshore banking has become quite a significant part of modern banking system. The mankind has been regulating and moderating banking services for centuries in order to meet all customers’ needs and desires. Nowadays, some experts state that a bit more than half earth’s funds are transferred through offshore banking. Notwithstanding its wide spread there is a hearsay that this kind of banking services is not completely legal and it triggers lots of fuss around the subject.
According to an official term, offshore financial is a set of banking services which are provided to the customer outside the depositor’s country of residence. It should be mentioned that all countries which offer offshore banking services must declare the earnings from interest but the client’s identity remains anonymous. So the most crucial advantage of having an offshore account is clients’ anonymity and privacy. Banks implement this approach very seriously and only in a case of high necessity (such as police inquiry) the banks might reveal some personal information of a customer.
As a practice, there are offshore trusts or organizations that offer quite reasonable deals on having an account outside a country-depositor. Such trusts have totally different regulations and the laws which were created specifically for them. For instance, such banks are not obliged to deduct taxes on the earnings from interest rates – so they do not have such high expenses on taxes as normal banks.
Offshore financial institutions are ready to open anonymous account, provide customers with anonymous debit cards and suggest number of other useful services that regular banks cannot provide with. As an example, if you are unsure whether your home bank will give you out a bit risky loan, you may always apply for it at some offshore bank and this way, you will be more likely to have a positive outcome.
It will be a huge mistake to differ offshore banking system from regular household bank. As the first one provides absolutely the same set of options to open an account, make transfers all over the planet, including wire transfers, regulate accounts and deal with investment administration and account management. Moreover, offshore employees are professionals of the highest level as they must be aware not only of the inside laws of the country where the bank is located but of international laws as well. For those who are looking to protect their property, it is always possible to move the capital to the country with a more secure political environment offered by financial offshore.
It goes without saying that offshore banks are even more strictly regulated by international organizations such as the Offshore Group of Financial Supervisors and the Financial Action Job Force due to worldwide terrorism. Recently it has become quite of a shock for offshore companies and financials to obtain a new list of requirements to fill in for being able to stay on the market. If the company does not meet all necessary requirements, it may be added to a black list which makes it impossible to move funds and perform transactions.
Coming to conclusion, there was a myth that most of offshore account holders were terrorists or arms sellers. Nonetheless, this myth was ruined by severe regulations from the international banking financials and governmental laws. Opening an offshore account permits even average people to be confident about safety of their assets and that no depreciation will influence their prosperity.